BackOps raises $42M Series B to automate supply chain operations
What's the deal? BackOpsDealroom has a profile for this one. Try Dealroom →, an AI startup that resolves operational tasks for companies making or moving physical goods, has raised $42 million in a Series B round. Insight Partners led, with existing investors Theory VenturesDealroom has a profile for this one. Try Dealroom →, Construct CapitalDealroom has a profile for this one. Try Dealroom →, Gradient VenturesDealroom has a profile for this one. Try Dealroom →, and 10VCDealroom has a profile for this one. Try Dealroom → also participating.
What's the endgame? BackOps aims to replace the manual work people do coordinating between enterprise systems, carriers, suppliers, and customers. It offers prebuilt connections to common carrier systems and resolution patterns learned across deployments, so companies can run AI processes without building infrastructure first.
Why now? The round comes six months after a $26 million Series A, and follows measurable customer results. In one deployment at a retailer operating 13 sites, BackOps cut the average billing cycle from roughly 28 hours to 14 minutes.
The billing case avoided an estimated 11,000 staff hours a year and a planned five billing specialists plus a supervisor — around $660,000 in projected annual cost.
By the numbers: A national parcel platform handed BackOps its claims operation in December 2025. The system has since processed more than 500,000 claims, resolving 91% with no human involvement, as monthly volume grew 150-fold without new hiring. The automated resolution rate rose from 87% at launch to 99% today.
Large enterprises across grocery, retail, logistics, and distribution have adopted BackOps for carrier claims, chargeback disputes, complex billing, and forecasting. The company will use the funding to support more processes and expand its product, engineering, and go-to-market teams.
What they said: "People have become the middleware between the systems and outside parties that keep supply chains moving," said Sean McCarthy, co-founder and chief executive officer of BackOps. "AI changes what is possible, but companies shouldn't have to spend months building infrastructure before they can start solving real operational problems."
The signal: At $42 million, the round sits in the top tier of recent raises, and reflects investor appetite for AI that executes reliably rather than just assists. BackOps is betting that domain-specific automation — grounded in proprietary data — beats general-purpose models for the messy, high-stakes work that determines operating cost and service.
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